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This decline will come despite offering a lower-priced ad-supported option. Young adult viewership is expected to decline the fastest, with an estimated 4.1% drop for viewers ages 18 to 24 and a 2.1% decrease for those ages 25 to 34 in the US due to account sharing, which is particularly common among these demographics.

Nearly 4 in 10 (39%) of advertisers are buying CTV ad spots because more inventory is available due to new ad-supported streaming tiers, per The Trade Desk. Our forecast projects US retail media CTV ad spending to soar 335.5% this year and reach $8.67 billion by 2027. Yes, but:. Offsite programmatic retail media faces scrutiny over transparency and advertising quality.

The two-pronged deal will help Roku reach audiences outside its own ecosystem, allowing it to better compete with other free, ad-supported TV (FAST) options, while also giving Google TV customers access to more free content.

Netflix has already introduced an ad-supported tier in the UK. Disney+ will follow closely behind, with a similar option likely in early 2023. Meanwhile, the TV manufacturers that have skin in this game have been reporting increasing engagement with ad-supported options鈥攖hough their findings might be considered somewhat self-serving.

Ad industry spending is crawling out of a dark period: The US ad market grew 2.5% in May, the first increase in 11 months.

Ad-supported options from the likes of Netflix and Disney+ are bolstering the open web, making premium ad space available to more advertisers. Go further: Consult our US Programmatic Forecast.

32% of US adults are watching subscription video-on-demand (SVOD) services less because they are watching more on free streaming services, per a July 2023 Aluma Insights survey. For 34% of US adults, viewing behaviors across streaming services haven鈥檛 changed as a result of free streaming services.

Amazon debuts at Upfront Week, showcasing its ad-supported streaming services and more: It鈥檚 a strategic move to expand its digital advertising reach.

Verna said that Disney+ and Netflix, which have just recently launched ad-supported tiers, will both be short of a billion dollars in CTV ad revenues this year.

Paramount鈥檚 restructuring and layoffs bely their challenged market position: Pluto TV and Paramount+ are attractive streaming assets, but may not be enough to help them increase market share.

Deloitte鈥檚 research also found millennials are more likely than any other generation to make a change in their entertainment subscription habits due to the economy鈥�31% claimed to have switched to a free ad-supported platform from a paid service.

狈别迟蹿濒颈虫鈥檚 ad-supported plans have an image problem: Concerns are swirling about the value of its upcoming subscription tier.

Average CPMs across major US streaming services are trending downward as Netflix and Disney+ lower the rates they solicited soon after launching ad-supported tiers in late 2022.

Amazon Prime Video ads launched today, defaulting Amazon鈥檚 163.3 million US viewers into its ad-supported tier unless they pay a premium to opt out. This is good news for Amazon鈥檚 $44.26 billion dollar retail US media business. But who could this move hurt?

But its push to increase ad-free, YouTube Premium subscriptions puts it at odds with the ad-supported push its competitors have made. Netflix and others spent the last year increasing the cost of access to ad-free subscriptions while increasingly pushing ad-supported tiers as the default for accessing their services.

But there are a lot of players that are coming into the ad-supported space,鈥� said Verna. Disney+ and Netflix both launched ad-supported tiers last year. Verna expects those platforms to be major players, but it will take several years before they build up their ad businesses.

On today's episode, we discuss what to make of Meta's new Threads app, whether the internet is becoming more like TikTok, the argument against "click to cancel," ad-supported versus ad-free video streaming, how shipping works, and more. Tune in to the discussion with our forecasting writer Ethan Cramer-Flood and analysts Zach Goldner, and Evelyn Mitchell-Wolf.

Ad spend across digital channels has been mixed so far this year, with spend on social networks slowing and connected TV spend boosted by new ad-supported subscription tiers. Meanwhile, retail media is diversifying at a rapid rate as nonendemic retailers get in the game

Brands benefit from ad-supported CTV inventory powered by retail media networks like Amazon Ads and Walmart Connect. Knowing how to efficiently reach the right shoppers with these high-impact ads鈥攁nd subsequently retarget them with digital ads鈥攃an produce outsize gains in holiday conversions. Expand buy now, pay later (BNPL) to physical stores.

On today's podcast episode, we discuss how this year will look as Google's cookies fade away, the biggest threat to Google's search dominance, how many consumers are moving to ad-supported streaming, whether Apple can move the VR needle, Peloton's content hub on TikTok, the first person to ever complete Tetris, and more. Tune in to the discussion with our analysts Ross Benes, Evelyn Mitchell-Wolf, and Max Willens.